Past performance is not a reliable indicator of future performance.
Strategy
Emerging Markets Bond
The Emerging Markets Bond Composite seeks current income and capital appreciation primarily through investment in fixed income securities issued by emerging nations. The strategy may invest in low rated bonds, including those in default, when market conditions warrant. Absolute weightings in the Emerging Markets Bond Composite will generally be higher in the larger markets of Brazil, Mexico, and Russia than absolute weightings in the Emerging Markets Diversified Bond Composite.
3YR Return Annualised (Net)
(View Total Returns)
Tracking Error
(5 Years)
1YR Return (Net)
(View Total Returns)
Information Ratio
(5 Years)
Inception Date 31-Dec-1995
Performance figures calculated in USD
Strategy
Investment Approach
- Focus primarily on sovereign debt, with smaller strategic allocations to corporate and local currency debt.
- Integrate proprietary credit research and relative value analysis.
- Establish independent credit rating at the country and corporate issuer level.
- Add value through active country allocation and individual security selection decisions.
- Limit risk through diversification.
- Employ long-term investment horizon.
Portfolio Construction
- Diversified portfolio structure: typically 400-500 securities
- Duration bands: managed within +/- 1 year of the benchmark
- Average credit quality: BB
- Country exposure will range between 0% and a max of 10% over the benchmark
- Expected tracking error should range between 200-400 bps
Annualised Performance
Quarterly| 1 YR | 3 YR Annualised |
5 YR Annualised |
10 YR Annualised |
|
|---|---|---|---|---|
| Composite Gross % | 8.52% | 5.17% | 3.67% | 5.99% |
| Composite Net % | 8.08% | 4.75% | 3.26% | 5.56% |
| Benchmark % | 4.05% | 5.69% | 3.60% | 5.50% |
| Excess Return (Gross) % | 4.47% | -0.52% | 0.07% | 0.49% |
Recent Performance
| 3 MonthsData as of 30-Sep-2021 | Year to DateData as of 30-Sep-2021 | |
|---|---|---|
| Composite Gross % | -0.38% | 0.13% |
| Composite Net % | -0.48% | -0.17% |
| Benchmark % | -0.70% | -1.36% |
| Excess Return (Gross) % | 0.32% | 1.49% |
Past performance is not a reliable indicator of future performance.
Returns for time periods greater than one year are annualised.
Gross performance returns are presented before management and all other fees, where applicable, but after trading expenses. Net of fees performance reflects the deduction of the highest applicable management fee that would be charged based on the fee schedule contained within this material, without the benefit of breakpoints. Gross and net performance returns reflect the reinvestment of dividends and are net of all non-reclaimable withholding taxes on dividends, interest income, and capital gains.
Effective 1 January 2021, the benchmark for the Emerging Markets Bond Strategy changed to JP Morgan Emerging Markets Bond Index Global Diversified. Prior to this change, the benchmark was the JP Morgan Emerging Markets Bond Index Global.
Holdings
Holdings
Total
Holdings
317
Quality Rating View quality analysis
| Largest Overweight | Largest Underweight | |
|---|---|---|
| Quality Rating | BB | BBB |
| By % | 12.39% | -8.08% |
| Portfolio | 30.97% | 23.65% |
| Benchmark | 18.58% | 31.74% |
Average Credit Quality
BBMaturity View maturity analysis
| Largest Overweight | Largest Underweight | |
|---|---|---|
| Maturity | 7-10 Years | 1-3 Years |
| By % | 6.71% | -6.63% |
| Portfolio | 23.40% | 6.19% |
| Benchmark | 16.69% | 12.82% |
Weighted Average Maturity
12.23 YearsDuration View duration analysis
| Largest Overweight | Largest Underweight | |
|---|---|---|
| Duration | Cash Equivalents | 1-3 Years |
| By % | 3.34% | -9.92% |
| Portfolio | 3.34% | 5.01% |
| Benchmark | 0.00% | 14.93% |
Samy Muaddi is a portfolio manager in the International Fixed Income Division. He is the portfolio manager of the Emerging Markets Bond Strategy and co-manages the Emerging Markets Corporate Bond and Global High Income Bond Strategies. He previously managed the firm’s Asia Credit Bond Strategy from its inception until 2020. Samy also is a vice president of T. Rowe Price Group, Inc., T. Rowe Price Associates, Inc., and T. Rowe Price International Ltd.